BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | SB 1148| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ UNFINISHED BUSINESS Bill No: SB 1148 Author: Pavley (D) Amended: 8/30/12 Vote: 21 SENATE NATURAL RESOURCES & WATER COMM. : 5-3, 4/10/12 AYES: Pavley, Kehoe, Padilla, Simitian, Wolk NOES: La Malfa, Cannella, Fuller NO VOTE RECORDED: Evans SENATE APPROPRIATIONS COMMITTEE : 5-2, 5/24/12 AYES: Kehoe, Alquist, Lieu, Price, Steinberg NOES: Walters, Dutton SENATE FLOOR : 24-14, 5/31/12 AYES: Alquist, Calderon, Corbett, De León, DeSaulnier, Evans, Hancock, Hernandez, Kehoe, Leno, Lieu, Liu, Lowenthal, Negrete McLeod, Padilla, Pavley, Price, Rubio, Simitian, Steinberg, Vargas, Wolk, Wright, Yee NOES: Anderson, Berryhill, Blakeslee, Cannella, Correa, Dutton, Emmerson, Fuller, Gaines, Harman, Huff, La Malfa, Walters, Wyland NO VOTE RECORDED: Runner, Strickland ASSEMBLY FLOOR : 51-25, 8/24/12 - See last page for vote SUBJECT : Fish and Game Commission: Department of Fish and Game SOURCE : Author CONTINUED SB 1148 Page 2 DIGEST : This bill establishes a program for review, approval, and oversight of mitigation and conservation banks, to establish base fees for numerous licenses which are currently set in statue, and explicitly requires trustee agencies to participate in the preparation of the State Environmental Goals and Policy Report. Assembly Amendments change the Senate language concerning mitigation and conservation banks and add other provisions concerning the Trout and Steelhead Conservation and Management Planning Act of 1978. ANALYSIS : This bill makes numerous changes to implement policy recommendations arising out of a Strategic Vision process for the Department of Fish and Game (DFG) and the Fish and Game Commission (FGC) in order to improve the effectiveness of these entities in protecting and managing state fish and wildlife resources. Specifically, this bill: 1. States legislative findings and declarations regarding the Strategic Vision process that was initiated as a result of the passage of AB 2376 in 2010 and the need for reforms to improve and enhance the capacity of DFG and FGC. States legislative intent to focus more of the work of the FGC on implementing state hunting and fishing laws, and to enhance DFG's ability to focus on managing its lands, its enforcement responsibilities, its conservation programs, and enhancing the scientific basis of DFG's decisions. 2. Requires the Office of Planning & Research (OPR) to include trustee agencies such as DFG in developing the state Environmental Goals and Policy Report. 3. Modifies and updates requirements related to sustainable management of the state's hatchery program and native fisheries, including the following: A. States legislative findings and declarations regarding the role of hatcheries and the importance of genetic diversity in managing California native trout species, and that DFG seek to provide diverse CONTINUED SB 1148 Page 3 recreational angling opportunities. B. Requires DFG to make publicly available on its Internet website information on the inventory of California trout streams maintained by DFG. C. Requires DFG every five years to update the state Strategic Plan for Trout Management adopted in 2003, and specifies objectives the plan shall be intended to ensure, including providing angling opportunities, conserving wild and native trout, and ensuring environmental sustainability and overall ecosystem watershed health. D. Requires the plan to be guided by specified considerations including adaptive management of trout populations to be self-sustaining, increasing angler satisfaction, ensuring appropriate age distribution of wild trout, and establishing ecologically and environmentally sustainable hatchery and stocking practices for native trout. E. Requires DFG to prepare trout management plans consistent with the Strategic Plan for Trout Management, for all wild trout waters within three years following designation of a wild trout water by the FGC, and to update the plans every five years. F. Requires priority to be given for stocking native hatchery-produced species where stocking is determined appropriate by DFG. Provides that waters where stocking is not appropriate include waters where stocking would adversely affect species listed under state or federal endangered species acts. Requires hatchery-produced trout to be stocked to support sustainable angling opportunities and fishing access, including urban fisheries. G. Requires DFG to ensure that trout stocked for recreational purposes are unable to reproduce, with specified exceptions. H. Requires DFG to form a strategic trout management team to oversee trout management statewide pursuant CONTINUED SB 1148 Page 4 to the Strategic Plan for Trout Management. Requires DFG's Strategic Plan for Trout Management to be reviewed by the Strategic Trout Management Team, the hatchery operations committee, and an ad hoc peer review committee to ensure sound management, improved genetic diversity, and best available science. I. Deletes obsolete provisions relating to state hatchery production goals and clarifies that the state hatchery production goal is 2.75 pounds of released trout per sport fishing license sold, and that a predominant number of released fish be catchable size or larger. J. States that at least $2 million dedicated under existing law to the Heritage and Wild Trout program from the Hatcheries and Inland Fisheries Fund (HIFF) may be used for development of trout management plans, and that up to 25% may be expended for watershed restoration projects, resource assessment and scientific inquiry. Clarifies that funds from the HIFF may be used for development of the state Strategic Plan for Trout Management, and states that funding for Heritage Trout Waters is a priority for the HIFF. K. Requires DFG on an annual basis to invest in hatchery facility improvements and rehabilitation to ensure progress towards achieving hatchery production targets. L. Authorizes DFG, beginning January 1, 2015, to obtain hatchery-produced fish from any California-based hatchery if all of the following criteria are met: (1) The hatchery production goal of 2.75 pounds of released trout per sport fishing license sold is not met; (2) DFG, following an inspection, determines the hatchery is in compliance with standards that are as stringent as those in effect at state hatcheries in order to minimize the risk of the CONTINUED SB 1148 Page 5 spread of disease or invasive species; and, (3) The cost per pound of the fish provided by the hatchery does not exceed the cost of state hatchery fish calculated equivalently, including transportation costs. (4) Appropriates $1 million from the Hatchery and Inland Fisheries Fund to DFG for capital outlay expenditures necessary for improvements to state hatcheries to achieve hatchery fish production goals. Requires DFG to prioritize capital outlay investments based on expected improvements in hatchery egg and fish production. 4. Establishes a program for review, approval and oversight of mitigation and conservation banks as follows: A. States legislative findings and declarations regarding the values and importance of conservation and mitigation banks in providing habitat lands which are managed to fulfill mitigation requirements, and the need for greater transparency to ensure mitigation requirements are fully met and to fund the regulatory costs of DFG related to mitigation and conservation banks. B. Requires any person seeking to establish a mitigation or conservation bank to submit a bank prospectus to DFG with a fee of $10,000 to cover the costs of DFG's review. Specifies what must be included in a bank prospectus. Establishes procedures for DFG's review and approval of a bank prospectus. C. Authorizes any person interested in establishing a bank to submit an optional draft prospectus for review by DFG, accompanied by a fee of $1,500 to cover DFG's costs, with total review fees for a prospectus not to exceed $10,000. D. Once the bank prospectus is approved, allows the applicant to submit a bank agreement package to DFG consistent with the prospectus and include specified information. Requires payment of a $25,000 fee to CONTINUED SB 1148 Page 6 cover DFG's review. Establishes procedures for DFG's review and approval of the package, including authority for assessment of additional fees if necessary to cover DFG's review of new information or substantial changes requested by the applicant. E. Provides similar procedures and fee requirements for amendments to approved banks. F. Prohibits any bank from being operative, vested or final, and prohibits any bank credits from being issued, until DFG has provided written approval of a bank and a conservation easement has been recorded on the site. G. Requires DFG after a bank is approved to conduct compliance review and to establish and maintain a database, available on DFG's website or another website that is linked to DFG's website, which allows bank sponsors to update information about mitigation and conservation banks. H. Requires DFG to provide an annual report to the Legislature on the mitigation and conservation bank program. I. Requires DFG to collect a total payment of $60,000 per bank to cover all or a portion of DFG's bank implementation and compliance costs, with payments due following credit releases. J. Requires DFG to annually adjust mitigation and conservation bank fees to reflect changes in the Implicit Price Deflator, and requires DFG to adopt guidelines and criteria to implement mitigation and conservation bank requirements. The guidelines shall incorporate information from a 2011 Memorandum of Understanding the state entered with federal agencies for purposes of jointly establishing a coordinated approach to mitigation and conservation banking in California. 5. Makes the following changes relating to fees charged for fish and game activities: CONTINUED SB 1148 Page 7 A. Requires FGC to adjust license, stamp, permit and tag fees for inflation based on changes in the Implicit Price Deflator, pursuant to Section 713 of the Fish and Game Code, at least every five years. B. Requires, with regard to the fees for lifetime sportsmen's licenses, sport and commercial fishing licenses, commercial fish business and vessel licenses, hunting licenses, ocean sport fishing enhancement stamps, commercial fishing enhancement stamps, and trapping licenses that the FGC adjust the license fees to recover, but not exceed, all reasonable administrative and implementation costs of DFG and the FGC relating to those licenses. C. Provides that except where the Fish and Game Code expressly prohibits the adjustment of statutorily imposed fees, the FGC may establish a fee or the amount thereof by regulation. Requires that fees established by the FGC shall be in an amount sufficient to recover all reasonable administrative and implementation costs of the FGC and DFG relating to the program for which the fee is paid. Authorizes the FGC to establish a fee structure to phase in fee adjustments to provide for full cost recovery within five years. D. Clarifies the DFG's authority to establish and adjust fees for CEQA filings, streambed alteration agreements, and scientific collector permits. Requires that the fees be sufficient to recover all reasonable administrative and implementation costs and authorizes DFG to establish a fee structure to phase in fee adjustments to provide for full cost recovery within five years. FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes Local: No According to the Assembly Appropriations Committee: 1. Unknown workload costs to DFG and the commission to review and adjust fees as needed (special funds). These CONTINUED SB 1148 Page 8 costs should be covered by fee revenue, which DFG and the commission can set to ensure they do so. However, there may be a lag between the time DFG and the commission develop and adopt fees and the time any resulting revenue increase is realized. It is not clear DFG or the commission has the resources to cover these activities from other funds until they receive additional fee revenue. 2. Ongoing costs of an unknown amount, but potentially exceeding $1 million dollars annually, to DFG to mark hatchery-produced trout (special fund). 3. Ongoing cost in the tens of thousands of dollars to DFG to support the strategic trout management team (special fund). 4. Significant costs, likely in the low millions of dollars annually, to DFG to plan, review, establish and monitor conservation and mitigation bank programs (special fund). These costs should be fully covered by the fees the bill authorizes DFG to collect from applicants. SUPPORT : (Verified 8/31/12) Green California Humane Society of United States Humboldt Baykeeper Klamath Riverkeeper Laguna Ocean Foundation Monterey Bay Aquarium Natural Resource Banking Coalition Natural Resources Defense Council Nature Conservancy OCdiving.com Ocean Conservancy Orange County Coastkeeper Otter Project Paw Pac Russian Riverkeeper San Diego Coastkeeper Santa Barbara Channelkeeper Save Our Shores Trout Unlimited CONTINUED SB 1148 Page 9 WiLDCOAST Wildlands Conservancy ARGUMENTS IN SUPPORT : Supporters of this bill note the long overdue need for reform of the state's wildlife management and in particular highlight support for the provisions transferring responsibility for ongoing management of California's MPAs, now that the network of MPAs has been established, to the OPC. Opponents in particular objected to provisions included in prior versions clarifying strict liability for fish and game code violations and creating a private cause of action. The private cause of action and strict liability provisions were deleted from this bill in the Assembly Appropriations Committee. As a result of the amendments taken, opposition was removed by the Realtors, Western Growers, California State Association of Counties, Regional Council of Rural Counties, Civil Justice Association, California Central Valley Flood Control Association, El Dorado County Irrigation District, Valley Ag Water Coalition which are now neutral. DLW:m 8/31/12 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED